German Manager Magazin: Business: German industrial production is surprisingly strong, exports sink 004018

The German industry At the beginning of the year, production also has thanks to a positive development in the Auto industry increased. In January, the production in the manufacturing business was 2.0 percent in the month comparison, as the Federal Statistical Office (Destatis) in Wiesbaden announced. This has been the strongest increase in production since last August. In December, the industrial sector, which was important for the German economy, had a production dampers, which was less than previously known.

The Federal Office revised the decline in December. Accordingly, production decreased by 1.5 percent in the month comparison after a damper had previously been reported by 2.4 percent. The start of 2025 was better than expected from analysts. On average, these only expected an increase of 1.5 percent.

Ascent to the automotive industry

“The positive development of production in January is particularly due to the increase in the automotive industry,” says the message. Here the Federal Office reported an increase in season and calendar adjusted 6.4 percent to the previous month. The production growth in the food industry also had a positive impact on the overall result. On the other hand, the decline in the area of ​​the manufacture of metal products had a negative effect.

Germany’s exporter had completed the year as a whole in 2024 with a minus in December. Overall exported Germany According to the statisticians, the latest information last year was a total value of 1556 billion euros and thus 1.2 percent less than a year earlier.

Growing trade conflicts

The aggressive industrial policy China puts the export industry as well as increasing trade conflicts with the USA. Only a few industries expect rising sales in the next few months, as the latest survey by the IFO Institute showed exporter expectations. “The export industry lacks dynamics and spirit of optimism,” summarized Klaus Wohlrabe, head of the IFO surveys. “The domestic companies are still waiting for an increase in demand from abroad.”

In the meantime, imports to Germany increased to 113.1 billion euros in January, as can be seen from the preliminary figures of the Federal Statistical Office. This is an increase compared to the previous month (plus 1.2 percent) and at the same month (plus 8.7 percent). The trade balance for January showed a surplus of 16.0 billion euros.

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